Suppose that a new bond rating service is established that specializes in rating municipal bonds that had not previously been rated. The likely result for municipal bonds would be a decrease in the equilibrium interest rate. a shift to the left in the supply curve for municipal bonds. an increase in the equilibrium interest rate. a shift to the left in the demand curve for municipal bonds.

Suppose that a new bond rating service is established that specializes in rating municipal bonds that had not previously been rated. The likely result for municipal bonds would be a decrease in the equilibrium interest rate. a shift to the left in the supply curve for municipal bonds. an increase in the equilibrium interest rate. a shift to the left in the demand curve for municipal bonds.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter4: Estimating Demand

Section: Chapter Questions

Problem 6E

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